Stock Market Early Morning Insights – September 14, 2016

For those who attended my last webinar series and those who are interested in attending I will hold another series of webinars that teach the techniques that I use beginning in late October. If you are interested contact me at ron@highgrowthstock.com.

Tuesday was yet another reversal day for the major market indexes, the NASDAQ gave up much of what it gained on Monday, and it would’ve been worse had Apple not rallied on news of us strong preorders for its new smart phones.

Volume was lighter than on the previous two sessions, but was still above average. There is some hope that the NASDAQ is going to stabilize, and maybe even go up because an Inside Day candle formed, and there was some buying towards the end of the day.

Oil and energy stocks were the primary culprits for the weakness, but groups and sectors across the board were down once again. There was some strength in Biotech and Specialty Pharma stocks as seen in the top 50 GIR and the pie charts. Some other groups had winners such as Communications Equipment, Semiconductor Devices, and Application Software, but the internals were once again ugly.

The industry groups were ugly as shown in the pie charts at the bottom of the report. 14 groups were down more than 3%, and only three groups had more advancers than decliners.

Both the S&P 400 mid-cap index and the S&P 600 small-cap index were weaker than the NASDAQ. There was some buying in the mid and small caps towards the end of the session, but for the most part, these indexes were very weak. They had been the strength of the market, but that is no longer the case.

Option traders who sell premium have to be loving this market because the VIX is up 48.5% over the last five days. It closed at 17.7%.

Have a good day, and I would not be surprised if the indexes rally on Wednesday. A rally may only be temporary if the bears use the to unload any long positions, and then get short. This tough market to call, so capital preservation is imperative..

STOCK MARKET EARLY MORNING INSIGHTS

Stock Market Early Morning Insights is a product of Ron Brown Investing. The complete report and all the charts are produced daily before the market opens and distributed by email to subscribers. Reports published on the HGSI Blog are delayed and do not contain all the charts. For more information about subscribing use this link. MORE INFO

Share this Story

About the Author

Ron Brown is a highly experienced investor who has benefited from his experience in using the High Growth Stock Investor software to develop sensible processes to reduce the time to ferret for profitable stocks. Ron contributes many of the tutorials and weekly reports contained on this website, and contributes to the Woodward and Brown newsletter. Ron Brown Investments may be reached at Ron@HighGrowthStock.com.

The last upgrade was literally an unbelievable surprise. When one knows how to use HGSI, there is almost nothing it can’t do that needs to be done.

Tom Watkins

I strongly urge you to view some of the step-by-step movies that Ron Brown has prepared. They are excellent in showing anyone how best to use HGSI and opening one’s eyes to a wide variety of stock market trading ideas.

Paul N. Carlin

George, Thank you very much for your insightful and friendly response. One of the reasons I appreciated your response so much is the lack of absolutes and the balance with it. I get very tired with most of the response I hear over the web that indicate absolutes…